Accounts receivable software is typically used to perform accounting and financial functions. The solutions range from simple single-entry apps for check writing and bookkeeping to advanced double-entry systems that include a general ledger. Sophisticated platforms offer extra features such as inventory, fixed assets, invoicing, and more. Show moreAccounts receivable software provides plenty of benefits as you can use it to automate your routine tasks, eliminate manual errors, keep your books accurate, get timely notifications to avoid penalties and more. Growing companies especially need a good quality accounts receivable software. You can start your search for the right system by browsing the leading solutions in this category, particularly FreshBooks that currently ranks as the best solution.Show less
In order to prepare this list of best Accounts Receivable Software we have checked 373 trending applications currently available on the market, studying their features, ease of implementation, client support, available integrations and mobile support with our exclusive SmartScoreTM rating system. This ranking has been created by Nestor Gilbert, our software expert dedicated to the Accounts Receivable Software category.
A winner of our 2019 Best Accounting Software Award, this robust cloud accounting app for small businesses makes billing easy and efficient. FreshBooks allows users to manage key processes easily from turning receipts into expense files to tracking billable hours. Special modules to manage projects and tax are also available.
A scalable cloud ERP solution for growing medium-sized businesses and large enterprises. It offers complete control and automation options in managing financials, billing, orders, inventory, fixed assets, and revenue. It also has different modules to help you bring together all your key business processes.
An online payment system that allows businesses and freelancers to streamline and automate the way they send and collect payments. Plooto is fully cloud-based, integrates with leading accounting platforms like Quickbooks and Xero, and can process payments even if the customer doesn’t have a Plooto account. With just an email address, payments are directly and securely transferred to and from your bank account.
A straightforward accounting platform that's Single Touch Payroll-enabled and offers automated tracking for bills, expenses, and invoices. It packs all the essential tools that businesses would need for their accounting needs, from financial reporting, billing to expense management. It also includes invoicing capabilities and receipt collection for good measure.
Armatic manages, automates, and optimizes the entire billing and payment pipeline from quote to payment. At its core, it is a software for payment processing, billing and invoicing, recurring billing, and subscription management. However, it integrates with third-party solutions to cover the revenue lifecycle process more efficiently.
Sage50 Accounting is a comprehensive cloud-based accounting software that helps businesses of all kinds and sizes manage key processes from billing to tax management. It has modules to help manage orders, contacts, inventory, and suppliers. It also includes advanced reports generation for forecasting and different types of financial analyses.
A comprehensive accounting software for freelancers and small businesses, this is one of the most easy-to-use web-based platforms available on the market. Users can manage key accounting processes like managing items, supplies, and customer accounts in one centralized hub.
Zoho Books is the winner of our 2017 Great User Experience Award. It is a smart accounting software designed for small businesses to better manage their finances and more efficiently control their cash flow. It is also user-friendly, with a clean design yet robust set of features that helps users generate actionable, data-based insights.
A financial management and accounting tool for freelancers and small businesses packed with comprehensive features including customizable invoices, automated bank feeds, and sales tax reports among others. It helps users be on top of their finances. The platform is also very easy to use, thanks to its sleek design.
Xero is a popular online accounting app designed for the needs of small and medium businesses in any industry. It is one of the most user-friendly accounting solutions available today. Features include real-time tracking of accounts receivable, expenses, billing, and invoicing.
A popular accounting software suite, QuickBooks is the go-to solution of businesses big and small, including freelancers and startups. It offers an extensive range of financial tools for sales, inventory, invoice management, and tax calculation among others.
ezyCollect is an advanced web-based accounts receivable solution that easily adds on to your MYOB or Xero accounting software to automate the process of chasing late paying customers.
Before we begin, let us peek into some statistics: The way how our business environment looks right now, almost 40% of invoices are paid with delay, almost 20% of customers avoid adhering to credit terms, and nearly 50% of them are delayed in their payments. To avoid making the landscape more terrifying, we’re going to skip mentioning the percentage of managers sitting behind their desks and wondering whether to ask for another payment extension. This being said, we operate in an online business environment where we can no longer rely on manual work to obtain tangible results. That’s, of course, is unless we try to automate processes and use the best Accounts Receivable software platforms we can find.
What do companies that use accounts receivable software programs have in common? Explained in simplest terms, automating receivable management equals the hiring of an ideal accountant that would always listen to your suggestions (but will make great decisions even on his own), pay attention to every detail, and most importantly–one that would work 24/7! Sounds attractive, doesn’t it? What matters, however, choosing the best Accounts Receivable tools for enterprises, and that’s what this guide will help you to do.
First of all, a good course of action is to sign up for at least a few free trial plans or demo from popular accounts receivable software providers. With that method, you will have the opportunity to test the important elements and you will get a good comparison of the capabilities of each app. The best thing to do is to try services that currently have the highest rankings in our SmartScore and Customer Satisfaction Rating in our accounts receivable software reviews: FreshBooks reviews, Intacct, Xero, Zoho Books, Zoho Invoice, AccountEdge, and KashFlow.
A/R measurement is critical to every success-orientated business, but there are still a few specific cases in which a company must consider getting one. Those cases were the rationale for the creation and development of these programs, which in their today’s form, aim to intervene in the following scenarios:
There are many different types of accounts receivable software tools, varying from free and basic tool suites to ultra costly and accurate programs. The list of features can also be categorization criteria, as certain programs do nothing but online accounting, while others are more robust and allow accountants to manage third-party payrolls, track the entire sales cycle, and even do some custom branding. Deployment is also an important factor based on which there are:
When buying your first accounts receivable system or upgrading to a more powerful one, you should look for the following features:
Accounts Receivable software is proof that automating processes can have amazing results, or at least that’s what satisfied users say. According to them, AR systems are more than likely to improve your market position and reduce the stress of not being able to meet your financial obligations. Thereof, after in-depth comparisons of popular solutions, we created a list of critical AR software benefits every company should consider:
Accounts receivable software has changed how businesses handle their collections, bills payments, and other related transactions. From automation to predictive cash processing, accounts receivable systems providers continue to come up with new and innovative features, aimed to further improve your cash flow and overall business profitability.
Like most business technology tools, accounts receivable software is susceptible to potential problems, which could emanate from the platform, how they’re used or from external factors. Here are some of the most common likely issues of AR solutions:
First, be clear about the reasons why you wish to use a SaaS system. You should also have a good understanding of your existing infrastructure and business processes. This information will assist you to smoothly integrate the SaaS platform with your existing infrastructure without any problems.
The second consideration is a follow up to the first one. Ask yourself what you want the SaaS solution to do for your firm. Then, be clear about the features the app should have. For example, if you want enhanced data collaboration between different business sections you need a solution that can be accessed by multiple users. However, if you require a resourceful program that is similar to an on-premise solution, you need to invest in a SaaS product that can be accessed by only a few users at a time.
After you pick a suitable provider, do not sign an agreement before you take a good look at the Service Level Agreement (SLA). The SLA will clearly describe what the SaaS vendor is offering and the reparation they will pay if they do not deliver the agreed services. Read and understand the SLA thoroughly to recognize what you are getting into and to avoid problems later.
The best accounts receivable software is Freshbooks. This is an award-winning cloud-based accounts receivable software for freelancers and small businesses. It is designed to transform complicated, cumbersome financial tasks into an easy and pleasant experience.
Among a host of popular features, this solution is known for simplifying client invoicing and collection processes. It offers an extensive range of tools and functionalities that can easily adapt to the growing needs of any business.
It also offers one of the most reasonable and flexible pricing schemes, making it easy even for startups to deploy this robust AR platform in helping them grow faster though accelerated invoice-to-cash conversion.
Accounts receivable software has significantly improved how businesses manage their invoicing and collection activities. This technology has provided a wide range of advantages, which include the following:
Improved handling of receivables. Without any contention, accounts receivable software has allowed businesses to be on top of their bills collection.
Reduced credit risk. Businesses can easily create data-driven credit reports based on reliable risk estimation, as well as other measures to inform clients of their credit risk status in a timely manner.
Shortened payment cycles. Because tasks are completed faster through automation, invoices can be sent faster, thus enabling businesses to get paid faster.
Time and cost savings. This solution provides new efficiencies that enable your business to gain considerable savings in the use of resources, including shorter turnaround time to complete sales cycles.
Seamless client communication. AR software provides businesses with better, more reliable means to reach out to customers from anywhere, anytime.
Better resource control. This technological solution allows you to be on top of your financial and business transactions, which enables you to make data-driven decisions.
Improved cash-out position. AR platforms empower business owners to focus more on their collectibles and establish more efficient ways to enhance their collection practices.
Accounts receivable software had gone a long way from its initial purpose of automating the process of collecting overdue client accounts. With the advent of cloud-based technology, AR systems are now offering sophisticated features, such as the following:
Document Management. Basically, the AR process involves the management of numerous documents, including invoices, purchase orders, and statements. Because of the large volume of documents needed to complete a cash transaction, you need accounts receivable software that can manage all documents, while sharing them with their corresponding recipients.
Invoice Dispute Management. Any disputed invoice is a single actual obstacle to getting paid on time. The longer the dispute, the smaller the possibility of getting paid in full. Your AR solution should be able to automatically escalate disputes to the employee in charge of managing them. It should also provide tracking and reporting features to allow for proactive dispute-related decisions and actions.
Online Bills Payment. AR software should enable customers to self-serve their payment needs. It must also provide a wide range of online payment options in order to cater to any specific, preferred payment method. This way, bills get paid faster.
Automated Email. Just like its marketing counterpart, the automated email feature of your AR platform is a powerful way to engage your clients to pay their bills. Your AR solution should allow for the creation of professionally-designed email, with easy-to-use email templates.
Phone Call Management. An accounts receivable system with a phone call management tool allows your collectors to easily record and transcribe these phone calls straight from within the platform. It should also allow your clients to access a prerecorded phone menu for self-service purposes, including balance inquiry or talk to a live collection agent.
From a highly complicated task, accounts receivable has become a simple business process, thanks to AR software technology. Based on expert and customer reviews, these three AR solutions are the easiest to use:
Sage Business Cloud Accounting. This popular, cloud-based AR and accounting solution offers real-time visual snapshots of your financial transactions from a single dashboard. Accessible from anywhere, anytime, Sage Business Cloud Accounting offers a wide range of features for improving your financial management, including bank statement imports, client sales history, and supplier purchases.
MYOB Essentials. This easy-to-use AR platform allows intuitive online invoicing and receipt collection, which practically streamlines most of your financial workflows. It also allows for the creation of smart quotes and invoices, sends out automated invoice notifications, and instant triggers once a client opens an invoice.
Zoho Books. This a powerful, yet user-friendly accounting and AR system designed to help businesses grow faster. Aside from a simple, intuitive interface, Zoho Books enables you to make data-driven decisions, including sending invoices online and accepting payment from popular payment gateways.
Not all software systems that are free to use have average to sub-par quality. In fact, these free AR solutions are among the best in the market today:
Zoho Invoice. Ease-of-use with increased control over your collections are among the strengths of this free AR solution. It is perfect for sole proprietorships and SMBs that need the capability to create and handle customized invoices, including seamless tracking and sharing with clients.
Zipbooks. This is a free online accounting solution with robust invoicing features, designed for freelancers and small businesses. It offers tools and features that help streamline financial transactions to accelerate the conversion of invoices into cash.
Wave. A free and well-integrated financial solution, Wave consolidates invoicing, receipt scanning, and general accounting in a single, compact platform. Its notable features include enabling business users to easily create their own professional business forms, including invoices and official receipts.
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